Canada Adds Six Cities to Low-Wage LMIA Freeze

Home / Canada Adds Six Cities to Low-Wage LMIA Freeze
by Ecaterina Andoni

Canada has widened its low-wage LMIA freeze in several labour markets, adding Halifax, Fredericton, Kingston, St. Catharines-Niagara, Regina, and Lethbridge while removing Kamloops and Chilliwack. The change affects employers seeking Temporary Foreign Worker Program approvals in regions with unemployment at or above 6%, and it may also affect foreign workers planning renewals or new work permit applications.

Canada expands low-wage LMIA freeze to more cities

Canada has updated its restrictions on low-wage Labour Market Impact Assessments under the Temporary Foreign Worker Program. As of October 9, 2026, more census metropolitan areas are now covered by the freeze, including Halifax, Fredericton, Kingston, St. Catharines-Niagara, Regina, and Lethbridge. At the same time, Kamloops and Chilliwack are no longer on the restricted list.

This measure applies in regions where unemployment has reached 6% or more. In those locations, employers are temporarily blocked from starting new low-wage LMIA applications or supporting some work permit renewals for non-exempt jobs. The current restriction period runs from October 9, 2026 to January 7, 2027, with the next federal update expected on January 8, 2027.

For employers and foreign nationals, this matters because an LMIA is often the key step in obtaining an LMIA-based work permit. Without a positive or neutral LMIA, many workers cannot move forward with a new employer-specific work permit application.

The newest list now includes 30 affected metropolitan areas across Newfoundland and Labrador, the Maritimes, Quebec, Ontario, Saskatchewan, Alberta, and British Columbia. Some of the better-known cities on the list include Montréal, Ottawa-Gatineau, Toronto, Hamilton, London, Windsor, Calgary, Edmonton, Kelowna, Abbotsford-Mission, Vancouver, and Nanaimo.

Why the government is doing this

The federal government uses this policy to limit low-wage foreign hiring in urban labour markets where local unemployment is already elevated. The idea is that employers in these areas should first make stronger efforts to hire Canadians and permanent residents before relying on the Temporary Foreign Worker Program.

This policy is administered through Employment and Social Development Canada, while work permit decisions themselves are handled by IRCC. If you are unsure whether your job offer still qualifies, it may be wise to review your broader Canadian work permit options and determine your eligibility early rather than waiting until a permit is close to expiry.

Who is affected and what “low-wage” means now

The freeze does not apply to every foreign worker. It targets positions considered low-wage under the current federal formula. Since late 2024, the low-wage cut-off has been calculated at 120% of the provincial or territorial median hourly wage, rather than at the median itself. That change significantly raised the threshold and brought more positions into the low-wage category.

For LMIA applications received on or after July 17, 2026, the hourly thresholds include $36.92 in Ontario, $31.96 in Nova Scotia, $31.73 in New Brunswick, $34.62 in Saskatchewan, $37.50 in Alberta, and $38.40 in British Columbia. If a job pays below the applicable threshold in a region on the restricted list, the employer may not be able to proceed unless the role falls under an exemption.

Examples of affected labour markets

The newly added regions are spread across several parts of Canada:

  • Halifax, Nova Scotia
  • Fredericton, New Brunswick
  • Kingston, Ontario
  • St. Catharines-Niagara, Ontario
  • Regina, Saskatchewan
  • Lethbridge, Alberta

Other regions remain under the same freeze, including St. John’s, Moncton, Montréal, Ottawa-Gatineau, Toronto, Kitchener-Cambridge-Waterloo, London, Windsor, Calgary, Edmonton, Kelowna, Vancouver, and several others.

For foreign workers already in Canada, this can create uncertainty around extensions. Some may need to look at other immigration pathways, such as the Express Entry system, a Provincial Nominee Program, or region-specific options like the Atlantic Immigration Program. In many cases, workers with Canadian experience may also want to review the Canadian Experience Class as a possible route to permanent residence.

Exemptions and important exceptions to know

Not every low-wage LMIA in an affected city is blocked. The government continues to allow certain occupations and sectors to proceed because they are considered essential or difficult to pause without broader consequences.

Sectors that remain exempt

  • Primary agriculture
  • Construction
  • Food manufacturing
  • Hospitals
  • Nursing and residential care facilities

There is also a specific exemption for private households hiring in-home caregivers, including nurses, childcare providers, and personal support workers. Families and workers in these situations may also wish to review Canada’s caregiver immigration pathways, especially where long-term settlement planning is part of the goal.

In addition, employers may request case-by-case exemptions for short-term, mobile, or event-based work. The examples mentioned by the government include workers needed for concerts, carnivals, and fairs. These are not automatic approvals, but they show that the policy still leaves room for practical exceptions where the work is temporary and highly specific.

What this means for employers

Employers in affected cities should not assume that a familiar hiring process will still work. Even where a role appears straightforward, the wage level, location, and job sector all matter. An employer may need to reassess whether the position fits an exemption, whether wages can be adjusted, or whether a different immigration route may be more suitable.

Some employers may also explore faster or alternative streams where available, such as the Global Talent Stream for qualifying occupations, though that stream has its own rules and is not a general substitute for all low-wage hiring.

What workers in Canada should do next

For foreign nationals, the biggest concern is often status. If your current work permit will expire soon and your employer is in an affected labour market, timing becomes very important. A blocked LMIA can interrupt renewal plans, even if you have been working lawfully in Canada for some time.

Concurrent processing and maintained status

There is still some flexibility for certain in-Canada workers. Under current policy, eligible applicants may submit a work permit extension application while the LMIA is still pending, as long as the LMIA follows the permitted concurrent processing rules. In August 2026, the federal government extended the grace period for providing the positive LMIA from 30 days to 60 days in qualifying cases.

If a worker files an extension before the current permit expires, they may benefit from maintained status. This means they can usually keep working under the same conditions while IRCC processes the extension, provided they stay in Canada and remain otherwise eligible.

Still, maintained status is not a substitute for a solid long-term plan. Workers affected by the LMIA freeze should assess whether they can transition to permanent residence through Canadian permanent residence pathways, improve their profile under economic immigration programmes, or move into another authorized work permit category.

Looking beyond one employer or one permit

This change is also a reminder that temporary status can be fragile when labour market rules shift. Depending on your background, it may be smart to build a broader strategy that includes language testing such as IELTS, CELPIP, TEF, or TCF, educational credential assessment for foreign studies, and a review of your CRS potential if you are considering economic immigration.

If you are not sure where you stand, take time to explore your Canadian immigration options. A work permit issue today may lead to a stronger long-term solution tomorrow if you act early and choose the right pathway.

Immigration rules and programme requirements can change quickly, and readers should always confirm the latest guidance with IRCC or seek advice from a licensed immigration professional before making decisions. EverNorth Immigration is here to help with experienced, compassionate support at every stage of your move to Canada, whether you are extending status, changing pathways, or planning permanent residence—if you are ready for the next step, you can book your free immigration assessment.

Frequently Asked Questions

What changed in Canada’s low-wage LMIA freeze on October 9, 2026?
Canada expanded the low-wage LMIA freeze to more census metropolitan areas as of October 9, 2026. Halifax, Fredericton, Kingston, St. Catharines-Niagara, Regina, and Lethbridge were added to the restricted list. Kamloops and Chilliwack were removed. The freeze applies in labour markets where unemployment is at or above 6%.
How long will the current low-wage LMIA restriction last?
The current restriction period runs from October 9, 2026 to January 7, 2027. The next federal update is expected on January 8, 2027. Because the list is tied to unemployment rates in census metropolitan areas, regions can be added or removed when the government updates the affected labour market list.
Who is affected by the expanded low-wage LMIA freeze?
The freeze mainly affects employers seeking new low-wage LMIAs in listed regions and foreign workers who need those LMIAs for employer-specific work permits. It may also affect some work permit renewals. A job is considered low-wage if it pays below the applicable provincial or territorial threshold, such as $36.92 in Ontario or $38.40 in British Columbia.
Are all low-wage LMIA applications blocked in the affected cities?
No. The article notes several exemptions. Low-wage LMIAs may still proceed in sectors such as primary agriculture, construction, food manufacturing, hospitals, and nursing and residential care facilities. Private households hiring in-home caregivers, including childcare providers, nurses, and personal support workers, are also exempt. Some short-term, mobile, or event-based work may be considered case by case.
What does this mean for foreign workers whose permits are expiring soon?
Workers in affected cities may face uncertainty if their renewal depends on a new low-wage LMIA. The article says eligible in-Canada workers may still submit a work permit extension while an LMIA is pending under concurrent processing rules. In qualifying cases, the grace period to provide a positive LMIA was extended from 30 days to 60 days.
What should employers and workers do after this LMIA freeze update?
Employers should review the job location, wage, and sector before starting an LMIA process, because familiar hiring steps may no longer apply in affected regions. Workers should check whether their renewal depends on a restricted LMIA and consider other options, such as Express Entry, a Provincial Nominee Programme, the Atlantic Immigration Program, or other authorized work permit categories.
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Ecaterina Andoni

I am Ecaterina Andoni, a Regulated Canadian Immigration Consultant (R1041367) and founder of EverNorth Canada Immigration Solutions Inc. My experience as an international student in Canada inspired my passion for immigration and my commitment to helping others make Canada their home. 

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